The EU's frozen Russian securities are valued

Updated: Jul 17

Russians' funds totaling $27 billion and international investors' funds totaling $85 billion have both been frozen by Euroclear.

Russian-owned stocks worth roughly $27 billion have been banned by Euroclear, one of the biggest financial transaction organizations in the world, according to ITI Capital strategists.

Over $85 billion in frozen assets are supposedly owned by international investors.

The suspension of transactions involving Russian equities was notified in March by the settlement and clearing agency based in Belgium. The action was taken in response to sanctions imposed on Moscow because of Ukraine. Later, Deutsche Boerse-owned clearing house Clearstream did the same.

Over $85 billion in non-resident assets were reportedly frozen in Russia's National Settlement Depository (NSD), with stocks making up about $48 billion of those assets and bonds, primarily sovereign debt denominated in rubles, accounting for the remaining $38 billion (OFZs).

According to analysts, local banks, management firms, non-state pension funds, and individuals who own foreign structured notes and shares make up the majority of NSD holders of foreign assets.

According to the previously disclosed plan by the Ministry of Finance, payments to holders of Eurobonds in the NSD and Euroclear are quite likely to be made in rubles first before being translated into foreign currency, ITI Capital strategists informed the media.

ITI Capital reports that as part of the EU's anti-Russian sanctions, EU leaders may take into consideration seizing the assets that have been banned.

The analysts anticipate that similar penalties will be implemented by Washington against the NSD, obliging brokers to de-collateralize assets in dollars and euros.

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